Are you looking for a new way of thinking about your business and your market?
Are you convinced your business has great potential, but unsure how to unleash it?
Are you sick of competing on price, then trying to cut costs to make ends meet?
It’s incredible how many businesses start developing their “new” business strategy by updating the year on their current strategy document, preparing an updated competitor and market share analysis, and setting a budget that produces incremental increases in their financial targets.
Sadly, nothing really changes for these businesses, and the owners are left scratching their head wondering why they wasted time developing a “new” strategy.
It proposes that instead of battling existing competitors in a traditional “red ocean” market and watching their profits shrink, businesses should instead seek to create an uncontested market space where they can capture and grow a new market, i.e. a “blue ocean”.
Blue Ocean Strategy draws on research from INSEAD graduate business school into 150 companies that have developed new markets by creating increased value for customers and the business, which has created new demand and made their competition irrelevant. The examples used are mostly well-known companies across a range of diverse industries, including Apple, Swatch, Cirque de Soleil, [yellow tail] wine, and the New York City Police Department.
More than merely theory, Blue Ocean Strategy outlines a simple and systematic analytical framework, tools and key principles to help businesses to formulate and execute their own blue ocean strategy.
The strategy canvas is a simple visual diagnostic and action model that businesses can adapt to their own market, and which identifies the current state of play in the existing marketplace.
The four actions framework helps businesses ask questions that challenge their industry’s business model by identifying opportunities to create buyer value and new demand whilst reducing their cost structure.
The six principles outline the steps businesses can take to build and execute a “blue ocean strategy”.
Why Should I Read It?
Although it’s been a while since I read Blue Ocean Strategy, I think I’ll pick it up and read it again. It definitely changed the way I think about developing business strategy and it always pays to re-read a good book!
If you’re motivated to think differently about your business’ market and potential, Blue Ocean Strategy provides case studies, frameworks and tools to rethink your business strategy. I recommend it to you.
Need more help to rethink your strategy?
If you’d like help to rethink, refresh or refine your business strategy, call us on 1300 656 141.